Indian rupee trims early losses, still down 39 paise against US dollar

IMF yesterday lowered its projection of India's growth rate to 3.75% in 2013 from 5.7%. (AP)

SummaryIndian rupee ended unchanged at 61.79 against the dollar in the previous session on alternate bouts of demand and supply.

In line with the equity market, the rupee trimmed early losses and was quoted down 39 paise to 62.18 against the dollar on demand from banks and importers for the US currency as it strengthened overseas.

The rupee resumed lower at 62.07 per dollar as against the previous close of 61.79 at the interbank foreign exchange market and dropped further to 62.30 before quoting at 62.18 at 1040hrs.

In New York, the dollar rebounded slightly against safe-haven currencies such as the Japanese yen and the Swiss franc yesterday, but foreign-exchange action was muted as investors stayed focused on the budget stalemate in Washington.

Crude oil prices edged lower in Asian trade with little progress made in ending the bitter US government shutdown that has sparked fears of a debt default, analysts said.

The 30-share benchmark Sensex declined 36 points, or 0.18 per cent, to 19,947.88 at 1045hrs, recovering from a low of 19,826.96.